Maintaining business continuity and increasing resilience
Even sophisticated technologies like AI and machine learning aren't able to predict black swan events such as recessions, pandemics, or terrorist attacks. And although AI can accelerate decision-making, it's unable to deal with a multitude of variables. If an analytical model didn't have certain information when trained, it won't know how to act. When you're looking at a potential response that differs from everything that's been done before, human intervention is unavoidable.
However, it's important to remember that – when leveraged as part of augmented intelligence – AI and machine learning are powerful catalysts. Adding human judgment empowers enterprises to rapidly detect, react, and adapt to change, which is essential for business continuity and increasing resilience.
This need for resilience is especially important in supply chain. Anomaly detection technologies are vital in flagging unusual spikes in product demand, pinpointing where those spikes are happening, and tracking how they're evolving across multiple locations. This information provides employees with a comprehensive view of the situation so that they can proactively adapt inventory management to meet demand.
Of course, data alone may not provide the full picture. Connecting and speaking to sales representatives across different regions creates an additional – and essential – layer of information. This information can capture regional, cultural, and language variables that can be added into the analytics strategy. Though anomaly detection provides a strong starting point, businesses can make more accurate predictions and more informed decisions when they combine data-based and human insights.